LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 76th Regular Session March 12, 1999 TO: Honorable Teel Bivins, Chair, Senate Committee on Education FROM: John Keel, Director, Legislative Budget Board IN RE: SB328 by Harris (Relating to the regulation of driver's training courses and the issuance of certain driver's licenses), Committee Report 1st House, Substituted ************************************************************************** * Estimated Two-year Net Impact to General Revenue Related Funds for * * SB328, Committee Report 1st House, Substituted: positive impact * * of $157,701 through the biennium ending August 31, 2001. * * * * The bill would make no appropriation but could provide the legal * * basis for an appropriation of funds to implement the provisions of * * the bill. * ************************************************************************** General Revenue-Related Funds, Five-Year Impact: **************************************************** * Fiscal Year Probable Net Positive/(Negative) * * Impact to General Revenue Related * * Funds * * 2000 $1,003 * * 2001 156,698 * * 2002 259,022 * * 2003 259,022 * * 2004 259,022 * **************************************************** All Funds, Five-Year Impact: ************************************************************************** *Fiscal Probable Revenue Probable Change in Number of * * Year Gain/(Loss) from Savings/(Cost) from State Employees from * * General Revenue Fund General Revenue Fund FY 1999 * * 0001 0001 * * 2000 $991,150 $(990,147) 10.0 * * 2001 991,150 (834,452) 1.3 * * 2002 991,150 (732,128) 0.0 * * 2003 991,150 (732,128) 0.0 * * 2004 991,150 (732,128) 0.0 * ************************************************************************** Technology Impact The legislation requires the Texas Education Agency (TEA) to establish a database that would contain information relevant to driver education certificates, and to make it available to the Texas Department of Public Safety (DPS). The agency estimates that such a database would cost approximately $88,000 for the 2000-01 biennium, and $21,000 per year in subsequent years. Fiscal Analysis The committee substitute differs from the bill as introduced in that TEA is granted the authority to raise the fee for the driver education certificate from the present $4 level to a maximum of $6. The bill would require driver education programs provided by public school districts to follow the same regulations that apply to commercial driver education schools in addition to provisions districts must follow under the Education Code. The bill includes a number of provisions with fiscal implications, including: exemption of the driver training function of the agency from the FTE cap; removal of all requirements for textbooks for driver education; and requiring the agency to develop and maintain a database for use by the DPS and driver education providers. Methodology Implementation of this bill would put the oversight of all driver education courses, both public school districts and commercial programs under the Texas Driver and Traffic Safety Education Act (TDTSEA). Under the provisions of the bill, the driver education activities of public schools would be subject to both the TDTSEA and the current state and federal laws governing public school courses of instruction simultaneously. This fiscal note assumes TEA would increase the fee for driver education certificates from $2 to $4.65 to offset the implementation costs associated with the bill, which would be allowed under the committee substitute. Local Government Impact There are potentially significant implications to local school districts as a result of this legislation. School district driver education instruction would be subject to TDTSEA. School teachers providing instruction in such courses would be required to obtain driver education instructor licenses under TDTSEA, in addition to the existing driver education endorsement required by the State Board of Educator Certification (SBEC). The $25 fee for the initial license as well as $25 per year to renew the license would be borne by these teachers, unless their school districts reimbursed them. In addition, individual instructors would bear expenses for the additional college credit required prior to initial licensure under TDTSEA. Although the bill exempts school districts from some of the fees associated with regulation under the TDTSEA, districts would become liable for fees under several situations. Current law allows the agency to assess civil penalties against licensees who are found to be in violation of current statutory requirements. The civil penalty is up to $1,000 a day for each violation. Public schools and instructors would be liable for penalty assessment under the law. Source Agencies: LBB Staff: JK, CT